San Francisco has 27.1 million square feet of office space available across the city, a record high, according to new data recently released by commercial real estate firm CBRE. If you need a visualization of that staggering number, that’s just over 20 Salesforce Tower’s worth of office space available — and SF’s tallest building has 1.35 million square feet of office space across its 59 floors.
If leasing activity keeps pace with its current trajectory, upcoming quarters could continue to get worse, given that 50% of current sublease space is set to expire in 2025. “The vacancy rate is going to continue to creep up over the next couple of quarters because demand remains subdued right now and that all relates to the uncertainty around the economy and the amount of space companies need,” said Colin Yasukochi, CBRE’s Executive Director of Tech Insights…
Empty buildings depress property values, which affects the amount the city makes in property tax revenue. Workers are also using public transportation at lower rates, and are spending less on goods at local businesses since they spend more time inside their homes.
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